Alterra IOS, a leader in the industrial outdoor storage (IOS) sector with over 280 sites nationwide, has announced the sale of a 51-property portfolio to Peakstone Realty Trust in an off-market transaction valued at $490 million. The portfolio, spanning 14 states, was acquired from a joint venture between Alterra IOS and institutional investors advised by J.P. Morgan Asset Management. It includes 45 operating sites, all fully leased to a diverse group of national and regional tenants, and six redevelopment sites.
“This significant portfolio sale to a publicly traded REIT highlights the success of Alterra’s investment strategy, which we have refined over nearly a decade, and furthers the institutionalization of the IOS asset class,” said Leo Addimando, CEO and Managing Partner, and Matt Pfeiffer, CIO and Managing Partner at Alterra. “We view this as just the beginning, as more institutional investors are seeking scale in the fragmented IOS sector, and we’re excited to continue pursuing growth opportunities as market fundamentals remain strong.”
Preston Meyer, Managing Director and Portfolio Manager at J.P. Morgan Asset Management, added, “This portfolio transaction marks a key milestone in executing one of our highest conviction strategies.”
Over the past seven years, Alterra IOS has raised $1.45 billion in equity from institutional investors. In May 2024, the firm closed Alterra IOS Venture III, LP (“Venture III”) with $925 million in commitments, surpassing its original fundraising goal of $750 million and exceeding the $850 million hard cap. This raise marks the latest milestone for Alterra’s IOS investment strategy, which was launched in 2016.
About Alterra IOS
Alterra’s industrial real estate platform, Alterra IOS, is dedicated to providing real estate solutions through property acquisition, development, management & leasing for tenants in the heavy industrial & outdoor storage space. Focused on low-building coverage sites with large, stabilized yard space to accommodate an array of uses such as vehicle, material, and equipment storage, Alterra brings an institutional comprehension of the municipal & logistical complexities in securing mission-critical real estate for the often-overlooked sectors of the U.S. industrial landscape. Over the past six years, Alterra IOS has created tenant relationships in the transportation & logistics, vehicle storage, equipment rental, and building materials industries through the acquisition or development of over 280 properties across 30+ states as of Q3 2024. The dedicated team of investment, development, construction, and asset management professionals provide tenants the resources to grow and improve their businesses through site selection, development, and/or sale-leaseback transactions.
About J.P. Morgan Asset Management
J.P. Morgan Asset Management is a global leader in alternatives, with over 60 years of experience managing alternative investments, including real estate, private equity, private credit, liquid alternative products, infrastructure, transport, hedge funds, and forestry. As of September 30, 2024, J.P. Morgan oversees more than $400 billion in alternative assets.
With $3.5 trillion in assets under management as of September 30, 2024, J.P. Morgan Asset Management serves institutions, retail investors, and high-net-worth individuals across every major market globally. The firm offers comprehensive investment management services in equities, fixed income, alternatives, and liquidity.
